Indiana § 5-1.2-12-11 Leveraged loan program; authorization

Indiana Statutes

§ 5-1.2-12-11 — Leveraged loan program; authorization

Indiana·Title 5 STATE AND LOCAL ADMINISTRATION·Art. 1.2 INDIANA FINANCE AUTHORITY·Ch. 12 Indiana Brownfields Program

(a)As an alternative to making loans or providing other financial assistance to private individuals or entities, nonprofit entities, or political subdivisions, the authority may use the money in the Indiana brownfields fund to provide a leveraged loan program and other financial assistance programs to or for the benefit of political subdivisions, including using money in the Indiana brownfields fund to enhance a private individual or entity's, nonprofit entity's, or political subdivision's obligations under this chapter by:

(1)granting money to:

(A)be deposited in:

(i)a capital fund or reserve fund established under IC 5-1.2-4 or another law, including this chapter; or

(ii)any account established within the Indiana brownfields fund; or

(B)provide interest subsidies;

(2)paying bond i

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(a) As an alternative to making loans or
providing other financial assistance to private individuals or entities,
nonprofit entities, or political subdivisions, the authority may use the
money in the Indiana brownfields fund to provide a leveraged loan
program and other financial assistance programs to or for the benefit
of political subdivisions, including using money in the Indiana
brownfields fund to enhance a private individual or entity's, nonprofit
entity's, or political subdivision's obligations under this chapter by:
(1) granting money to:
(A) be deposited in:
(i) a capital fund or reserve fund established under IC 5-1.2-4
or another law, including this chapter; or
(ii) any account established within the Indiana brownfields
fund; or
(B) provide interest subsidies;
(2) paying bond insurance premiums, reserve insurance
premiums, or credit enhancement, liquidity support, remarketing,
or conversion fees, or other similar fees or costs for obligations of
a political subdivision or for bonds or other obligations issued by
a trustee that is a financial institution for a grantor trust or the
authority if credit market access is improved or interest rates are
reduced; or
(3) guaranteeing all or a part of obligations issued by political
subdivisions or of bonds or other obligations issued by a trustee
that is a financial institution for a grantor trust or the authority.
(b) The authority may enter into any agreements with:
(1) a trustee that is a financial institution for a grantor trust; or
(2) private individuals or entities, nonprofit entities, or political
subdivisions;
to carry out this chapter.
(c) A guarantee of obligations or bonds under subsection (a)(3) must
be limited to money in the Indiana brownfields fund. A guarantee under
subsection (a)(3) does not create a liability or an indebtedness of the
state or of the authority except, in the case of the authority, strictly in
accordance with the guarantee terms.
(d) Notwithstanding any other law, the authority is considered a
qualified entity for purposes of IC 5-1.5.